[ForexNews]

The short-term drivers table is indicating a return of equities as an important driver of FX. In particular, the MSCI global equity market index is currently the most significant driver for EUR/USD and AUD/USD when adjusted for the standard deviation of returns (even larger than commodities). With the recent sell-off having potentially cleared out speculative long-risk positions, positioning is likely to be light at present and risk-related currencies could squeeze higher into year-end in the absence of another large risk event. For the GBP, the relative outlook for monetary policy remain the main driver - the difference between the UK and US 1y-3m calendar spreads is a strong driver of the GBP.